Question: 12. (12 marks) A project is assessed at the initiation phase and was found that the 3 proposed solutions have their respective possibilities of gain

12. (12 marks) A project is assessed at the

12. (12 marks) A project is assessed at the initiation phase and was found that the 3 proposed solutions have their respective possibilities of gain or loss. The amounts of gain or loss are given as net present values and their respective probability of occurring are given in the table below. Find out the expected monetary values of each solution. Based on expected monetary money, which solution would you choose? Solution name Probability (%) Gain(+)/ Loss 40,000,000 -100,000,000 Solution A 80 20 Solution B 20 70 70,000,000 10,000,000 -50,000,000 30,000,000 -20,000,000 10 Solution C 60 40

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